ECONOMICS 951
NUMERICAL METHODS FOR
ECONOMICS AND ECONOMETRICS

Assignment 1.0

  1. Read through the language tutorial. Write some simple programs.
    2.  
  2. Read Chapter I, which presents the infinite-horizon job search model with an exponential wage-offer distribution.
    3.  
  3. Write two functions in Ox called evt(const wrn,const theta) and wrt(const evn,const theta). The second argument to both functions is a 3 x 1 array containing the parameters of the search model,theta=(alpha,beta,gamma). The function evt evaluates the right-hand side of (25) as a function of the current guess of the reservation wage w*. The function wrt returns the right-hand side of (26) as a function of the current guess of EV.
    4.